think at this point he lets the sequester kick in. this is not likethedebtceiling. thedebtceilingwewere all terrified. if we even went a few hours with the u.s. government not paying interest on its debt, then god knows what would have happened. this is not like that. this is something where the negative effects kick in gradually. the world won't end if we go a month into this thing, so he can afford to wait, where i believe the republicans will have to cave eventually. what he should be looking for is i think some face-saving way for everybody to just kick this can down the road. we shouldn't be doing anything right now. >> [ inaudible ]. >> we could have some vague spending cuts promised in the future, some real revenue sources. >> all in the future. because you don't want any austerity now. >> this is a terrible time to do it now. >> i think his reaction depends on whether or not the republicans can hold their coalition together. and if they can create a coalition that holds together, which might even include some democrats, i think they can prevail on this issue and get a sm

the regulatory environment out there and how healthcare will affect them.thedebtceilingcontinuesto go up and the overall debt. they are very concerned about all of those things. lori: do you think washington has the best interests of small business at heart? >> well, i hope so. the unfortunate part is we are seeing it in the administration. it continues to attack small business. washington has a spending problem, not a revenue problem. we hear about this every single week. lori: you point out that many small businesses do not have lawyers or lobbyists that focus on this. the list goes on and on. that is a serious problem. a serious disadvantage for them, correct? >> exactly. they do not have the resources. that is one of the reasons why we are trying to provide the voice for small businesses. we need to be the advocate for small businesses here in washington. lori: you look at our ballooning national debt in the battle over the current deficit. what is the best outcome? >> that would be for the federal government to reduce spending. that is just all there is to it. lori: where exactly? i

merit. president obama has signedadebtceilingsuspensioninto law. the measure allows the government to keep borrowing to pay its bills. it puts off the next congressional battle over the debt ceiling until may. boeing is asking the faa for permission to resume test flights of its grounded 787 jet. it wants to test the batteries and other components in flight since certain conditions can't be simulated on the ground. the faa is evaluating boeing's request. >>> in wall street 2013 rally interrupted with a major averages suffering their worst one-day loss in a year on monday's trading. the last hour we spoke to goldman's jim o'neil about the prospects of making money in this market. >> i think to sell if you're a medium term player is probably not a smart move. but if you've made all the gains, to take some off the table isn't a crazy idea either. >> joining us now is nouriel roubini, chairman and co-founder of roubini global economics. you're not like a market master, maybe like a market jedi. plus andrew still here from fortune magazine. the one and only. we haven't seen you in a lon

. >> nobody is worried about this upcoming debate on sequestration, onthedebtceiling. youthink that creates noise and disruption. >> i do, maria. i think that you've got a trifecta coming off, you've got the skywest raise and the debt ceiling and the eurozone so there's still a lot of volatility out there, so that's have we're cautiously optimistic. you need to be properly allocated in order to reap the rewards of the greatest capital machine in the world which is our united states stock market. >> thanks, everybody. appreciate your time. >> we'll see you soon in the final stretch of trading. we've got a market that's higher on the dow jones industrial average. >> remember, the dow needs to be up 66 points or there abouts to be positive. don't look now but suddenly apple is up past $475 a share and it's all because big investors have a beef with the board. we'll talk to one major investor who is on apple's side in this battle. >> look outside new york city and our cnbc headquarters. it is bad and it's getting worse. the big worry now, power outages. believe it or not, there we

something on sequester or the sky will fall. we have to do something onthedebtceilingorthe sky will fall. we have to do something on the continuing resolution or government will shut down and the sky will fall. where do you draw the line? we have a $16 trillion debt in this country. we've got to take a stand. >> howard dean, let me go to you on this because actually you're a tight fisted guy. if i understand it, you want the sequester to go nthrough. $85 billion this year. a little less than 2.5% of the $3.8 trillion budget. if you take out entitlements, then it becomes about a 6%, 7% or 8% cut. what's wrong with that? we're in trouble. doct why can't we do it? >> the sky will fall if you don't deal with the debt ceiling. but i think unfortunately, this is the price that we pay in the fiscal cliff deal. the democrats paid. i said at the time that i thought it was a short term victory for the democrats, but a long term victory for the republicans because we gave away our leverage on tax increases. so, sure, i have no objection to giving away the carried interest on some of the p

spending, and essentially postponed some of the other issues, likethedebtceiling, whichwas going to come up very quickly in the new year, and now has been postponed to may 19. we also have a sequestration but was postponed for two months and that's coming back at the end of february. and if that wasn't enough we have a c.r., since we don't pass budgeting now, we governed by c.r. we have a continuing resolution debate and vote coming up on or before the 27th of march. so what we have done is we've spread these crises out over the course of the whole first half of the year and that's going to be difficult for the economy to manipulate, because as we start istartto see fundamental improvt elsewhere, we will see continued refocusing on the inability of our government to come to terms with its spending, it's taxes, and its debt and deficit. and that will continually, i believe, while markets and call into question some of the more optimistioptimisti c factors that we are seeing. i'd like to call the panel up here, and we will start going through with we're going to do john first, and

president has ever had -- what president has ever had the hostage-taking ofthedebtceilingsoyou can't write a budget if there are individuals in the congress that won't do the normal business which is to raise the debt ceiling so that the american people can be taken care of? as we speak, however, the president has introduced today a short-term fix to avert the sequester. the democrats have offered a way of avoiding the sequester. we have nothing from the republicans except a resolution that says a request for a plan. the very plan that the president knows by law he's going to submit as long as he knows what is the amount of money we have to work on and of course the budgeting process is going through the house, the chairman of the budget, mr. ryan, the ranking member of the budget, mr. van hollen. we all know the regular order. we are going to do our work. but putting us on the floor today and ignoring what we should be doing, i'm saddened that my amendment that indicated i wanted to make sure that the most vull vulnerable in any budget, -- vulnerable in any budget, 21% of our nati